This year, the small cell forecast ratcheted down a notch, as some key programs in China and 'direct-to-enterprise' channel did not materialize as anticipated. However, growth due to "densification" and indoor coverage has grown in strength, resulting in a strong revenue outlook.
"The overall market, including residential femtocells, is growing at about 17% (CAGR) over our forecast period," commented Mobile Experts Senior Analyst Kyung Mun. "But the growth for non-residential small cells is even more dramatic. We expect carrier and enterprise segments to grow at over 30% CAGR from 2016-2022."
According to Mobile Experts, market trends point to an upward trajectory this year. Carriers with broad LTE coverage are reaching a level of traffic density in excess of 1 Gbps/km2, which leads to a need for small cells to increase capacity. Additional small cells are used to expand mobile coverage in strategic locations within macro coverage areas to target high-value customers, Mobile Experts reveals in the new report.